Published: Sunday, April 21, 2013 at 04:50 PM.

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May 1 will be a red-letter day for two historic redevelopment projects on the verge of providing new housing in Gastonia. Just a couple of years ago, both the former Gaston Memorial Hospital on Highland Street, and the Armstrong Apartments at Marietta Street and Second Avenue downtown, were staring down a wrecking ball. The historic buildings had been vacant for years and had deteriorated beyond the apparent point of rescue. Their restoration has proven to be a coup. And with both ready for occupancy in a little more than a week, city leaders and developers are taking note of what’s been achieved. “For me, it’s a very fulfilling thing,” said Blackpine Development President Dewey Anderson, whose firm handled the Armstrong Apartments overhaul. Officials say interest from prospective tenants has been rampant, and applications are now being accepted. The old hospital, now known as the Highland Memorial Apartments, will be rented at affordable housing rates to seniors and people with severe disabilities. The Armstrong Apartments, in contrast, will be rented at market rates. The work was achieved through several complex layers of financing. Gastonia secured a $950,000 grant through the federal Neighborhood Stabilization Program, then loaned $300,000 of it to the Highland apartments project, and $650,000 to the Armstrong venture. The city also loaned the Highland project another $300,000 in program income from a former NSP grant it had received.

"Program income" involves grant money that came back to the city from projects funded from an earlier grant, said Jack Kiser, Gastonia's special projects executive.

The city used its funding sources to offer a loan to The Landmark Group, a Winston-Salem redevelopment firm, to handle the hospital overhaul. Landmark also had to obtain extremely competitive, low-income tax credits to make the project work. The hospital financing and tax credits were leveraged to enable Blackpine Development’s $2.5 million renovation of the Armstrong Apartments. Preservation North Carolina, a nonprofit that strives to find new uses for forlorn, historic structures, also played a critical role in both projects. After the financing plan was secured in 2011, construction on each of the projects began about a year ago.

Rooms for rent Built in the early 1920s, the hospital is being converted into 75 one- and two-bedroom apartments. Landmark has spearheaded more than 80 similar rehabilitation projects around the state, pairing federal tax credits with investments of its own money. But Landmark Development Director Wil Warren said much of their work has involved old textile and cotton mills, as opposed to historic hospitals. “This is definitely a unique project,” he said. Landmark Regional Property Manager Brandie Wilks said they have had overwhelming response from potential tenants who live as far away as Atlanta. “Right now, we have approximately 50 applications,” she said. “Of those, 17 have been approved and the remaining ones are going through the verification process.” That process takes about two weeks, depending on how quickly applicants return necessary information about their income and other details. Each unit has amenities that are unmatched compared to many other senior housing options in the area, such as washer/dryer hookups, track lighting, new appliances and hardwood floors, Wilks said. There are also two community rooms for tenants, and the numerous old hospital windows provide tons of natural light. “The affordable price is definitely attractive for what we are offering,” Wilks said. The Armstrong Apartments were built in 1918 to provide housing for teachers who worked at a nearby elementary school. The 18 one- and two-bedroom units include a mixture of flats and townhomes. They also include new modern amenities, while offering the architectural appeal and character of a nearly century-old building. Anderson said the applicants who have contacted him include a mixture of older and younger people. Some are people who like the idea of being able to walk to areas around downtown Gastonia. Others grew up in Gastonia and have a personal attachment to the complex, in some cases because their relatives lived there previously, he said. “One lady told me she used to play in the back where the parking lot is now,” he said. “There are some wonderful connections and stories with these apartments.”You can reach Michael Barrett at 704-869-1826 or twitter.com/GazetteMike.

Preservation Celebration Preservation North Carolina will host a Preservation Celebration and brunch from 11:30 a.m. to 4 p.m. April 28 at the Gastonia Conference Center. It will commemorate the completed restoration of the former Gaston Memorial Hospital and the Armstrong Apartments, as well as the renovation of the historic Loray Mill that is beginning this month. For ticket information, visit www.preservationnc.org.

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May 1 will be a red-letter day for two historic redevelopment projects on the verge of providing new housing in Gastonia.
Just a couple of years ago, both the former Gaston Memorial Hospital on Highland Street, and the Armstrong Apartments at Marietta Street and Second Avenue downtown, were staring down a wrecking ball. The historic buildings had been vacant for years and had deteriorated beyond the apparent point of rescue.
Their restoration has proven to be a coup. And with both ready for occupancy in a little more than a week, city leaders and developers are taking note of what’s been achieved.
“For me, it’s a very fulfilling thing,” said Blackpine Development President Dewey Anderson, whose firm handled the Armstrong Apartments overhaul.
Officials say interest from prospective tenants has been rampant, and applications are now being accepted. The old hospital, now known as the Highland Memorial Apartments, will be rented at affordable housing rates to seniors and people with severe disabilities.
The Armstrong Apartments, in contrast, will be rented at market rates.
The work was achieved through several complex layers of financing. Gastonia secured a $950,000 grant through the federal Neighborhood Stabilization Program, then loaned $300,000 of it to the Highland apartments project, and $650,000 to the Armstrong venture. The city also loaned the Highland project another $300,000 in program income from a former NSP grant it had received.

"Program income" involves grant money that came back to the city from projects funded from an earlier grant, said Jack Kiser, Gastonia's special projects executive.

The city used its funding sources to offer a loan to The Landmark Group, a Winston-Salem redevelopment firm, to handle the hospital overhaul.
Landmark also had to obtain extremely competitive, low-income tax credits to make the project work.
The hospital financing and tax credits were leveraged to enable Blackpine Development’s $2.5 million renovation of the Armstrong Apartments. Preservation North Carolina, a nonprofit that strives to find new uses for forlorn, historic structures, also played a critical role in both projects.
After the financing plan was secured in 2011, construction on each of the projects began about a year ago.

Rooms for rent
Built in the early 1920s, the hospital is being converted into 75 one- and two-bedroom apartments.
Landmark has spearheaded more than 80 similar rehabilitation projects around the state, pairing federal tax credits with investments of its own money. But Landmark Development Director Wil Warren said much of their work has involved old textile and cotton mills, as opposed to historic hospitals.
“This is definitely a unique project,” he said.
Landmark Regional Property Manager Brandie Wilks said they have had overwhelming response from potential tenants who live as far away as Atlanta.
“Right now, we have approximately 50 applications,” she said. “Of those, 17 have been approved and the remaining ones are going through the verification process.”
That process takes about two weeks, depending on how quickly applicants return necessary information about their income and other details.
Each unit has amenities that are unmatched compared to many other senior housing options in the area, such as washer/dryer hookups, track lighting, new appliances and hardwood floors, Wilks said. There are also two community rooms for tenants, and the numerous old hospital windows provide tons of natural light.
“The affordable price is definitely attractive for what we are offering,” Wilks said.
The Armstrong Apartments were built in 1918 to provide housing for teachers who worked at a nearby elementary school. The 18 one- and two-bedroom units include a mixture of flats and townhomes.
They also include new modern amenities, while offering the architectural appeal and character of a nearly century-old building.
Anderson said the applicants who have contacted him include a mixture of older and younger people. Some are people who like the idea of being able to walk to areas around downtown Gastonia. Others grew up in Gastonia and have a personal attachment to the complex, in some cases because their relatives lived there previously, he said.
“One lady told me she used to play in the back where the parking lot is now,” he said. “There are some wonderful connections and stories with these apartments.”You can reach Michael Barrett at 704-869-1826 or twitter.com/GazetteMike.

Preservation Celebration
Preservation North Carolina will host a Preservation Celebration and brunch from 11:30 a.m. to 4 p.m. April 28 at the Gastonia Conference Center. It will commemorate the completed restoration of the former Gaston Memorial Hospital and the Armstrong Apartments, as well as the renovation of the historic Loray Mill that is beginning this month. For ticket information, visit www.preservationnc.org.